IDFA Seeks Return of Duty Free Sales Between UK and Ireland

The Irish Duty Free Alliance (IDFA), an independent grouping representing the interests of businesses and entities trading in the Irish duty free and retail market, has published an economic study outlining the significant commercial opportunity offered by the return of duty and tax free sales between the UK and Ireland post-Brexit.

The study, titled ‘The Economic Impact of Reintroduction Duty Free and Tax Free Sales Between the Republic of Ireland and the UK after Brexit’, was carried out by Anthony Foley, Associate Professor of Economics at Dublin City University Business School. Using empirical data from Irish airports, ports and suppliers, the report finds that the return of duty free will:

Anthony Foley said: “The return of duty free sales on the Ireland-UK route is worth the best part of €60 million in direct or indirect sales. Overall, this restoration will increase economic output and employment, with additional revenues supporting the local and regional economy across Ireland. It will also offer a substantial and cost-effective showcase of Irish products and brands to millions of passengers each year through Irish airports and ports.”

The findings arise as the IDFA seeks the immediate return of duty and tax free sales on routes between the UK and Ireland at the end of the transition period in December 2020.

Neither membership of a Customs Union with the EU, the EU Customs Union or retaining access to the Single Market of the EU27 prevents the return of duty free sales to passengers travelling on routes between the UK and the EU27. As such, the UK’s future relationship with the EU agreed over the months to come will not impact on the return of duty free sales for Irish travellers to the UK.

“The IDFA shares the Irish Government’s desire for as ‘soft’ a Brexit as possible,” said Frank O’Connell, Chairperson, Irish Duty Free Alliance. “Regardless of the final agreement on the Single Market or the Customs Union, the return of duty free sales will secure a positive outcome from an otherwise undesirable situation. The findings of Professor Foley’s economic study show there is a clear economic opportunity at the end of the transition period and we believe this additional economic impact and job creation will prove to be very popular with the Irish public.”